WestCOG and the Connecticut Metropolitan Council of Governments (MetroCOG) today applauded the Connecticut Public Utilities Regulatory Authority (PURA) for its unanimous decision to deny the proposed sale of Aquarion Water Company to the newly created Aquarion Water Authority.

The decision follows months of opposition from a coalition of 26 mayors and first selectmen, who, in partnership with WestCOG and MetroCOG, argued that the sale was not in the public interest. The leaders cited concerns that the deal would lead to drastic rate hikes, eliminate independent regulatory oversight, and create an inequitable governance structure that would silence the voices of the communities served by Aquarion.

“PURA made the right decision for Connecticut residents. From the beginning, we argued this deal was structured to benefit the sellers, not the customers, threatening residents with soaring costs and a complete loss of the public accountability that PURA provides,” said Francis Pickering, Executive Director of WestCOG. “We are grateful that PURA listened to the unified voice of local leaders and consumer advocates and upheld its fundamental responsibility to protect Connecticut’s consumers.”

In its unanimous decision, PURA determined the proposed transaction did not meet managerial suitability and responsibility requirements consistent with the public interest, citing an unsuitable governance structure with significant local control issues. This aligns with the core arguments made by WestCOG, MetroCOG, and the 26 municipal leaders in their formal opposition.

“This decision is a victory for public accountability and ensures our region’s most essential resource remains under transparent, expert oversight,” said Matthew Fulda, Executive Director of MetroCOG. “The proposed governance structure was fundamentally inequitable and would have handed control to an entity not accountable to the residents it serves. We thank the PURA commissioners for their diligent review and for protecting the public interest by rejecting this flawed proposal.”

The proposal would have forced Aquarion customers, who currently pay about 30% less for water than customers of the Regional Water Authority (RWA), to finance the acquisition of their own water company, leading to projected rate increases of 65% over the next decade. The sale would have also stripped away PURA’s independent oversight of rates, service quality, and infrastructure investment. Further, the newly created authority would have been overseen by a 59-person Representative Policy Board. Under this additional layer of bureaucracy, votes would be based on population, resulting in 30 Aquarion towns having no input on issues impacting their water.